Finance Ministry intends to strengthen co-op banks

Prior to finalizing the Budget, the finance ministry has asked for a new report on State Cooperative Agriculture and Rural Development Banks to reformulate the road-map for agriculture lending, reports New Indian Express.

The government is of the view that in order to revive the agriculture sector these institutions that are in a bad way need fresh planning and thinking.

A top govt. source is quoted saying primary co-operatives and regional rural banks account for a significant share of rural and agriculture credit, with NABARD providing support to these institutions.